Elon Musk provokes heated debate on corporate strategy after lamenting ‘MBA-ization of America’

Elon Musk provokes heated debate on corporate strategy after lamenting ‘MBA-ization of America’

While addressing the Wall Street Journal’s CEO Council annual summit, Musk took aim at the prevalence of MBA (Master of Business Administration) holders among business leaders, arguing that their textbook-based approach was stifling creativity and innovation in the workplace.

“I think there might be too many MBAs running companies,” Musk said. “There’s the MBA-ization of America, which I think is maybe not that great. There should be more focus on the product or service itself, less time on board meetings, less time on financials.”

Twitter and Facebook users applauded Musk for calling out the stale, uninspired aspects of corporate culture. One reply argued that former Apple CEO, the late Steve Jobs, became a tech visionary by embracing a similar skepticism of the status quo.

An observer on Facebook praised the SpaceX founder for blowing the whistle on educational institutions which rake in cash with their lucrative MBA programs.

“So spot on here. Universities have sold the world on the need for MBAs primarily because they are so profitable for the Universities not because they create some disproportionate value,” read the supportive comment.

READ MORE: Elon Musk joins California exodus, moves his personal residence to Texas after clashing with Sacramento over Covid-19 restrictions

Not surprisingly, many others took issue with the remarks, noting that there was a reason why the business management degree is globally recognized and sought after.

“Too may surgeons operating in hospitals too…give other people a turn on the scalpel!” read one facetious reply.

Others were equally unimpressed by Musk’s insights.

The entrepreneur was also accused of taking government handouts and trying to avoid taxes, arguing that such business practices disqualify the billionaire from lecturing executives.

Musk was also encouraged to take his own advice. A reporter for CNBC created a list of Tesla board members who hold MBAs.

The businessman also announced during the online summit that he had moved his private residence to Texas, complaining that his former home state of California had become “too complacent” and “entitled.”

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